Chevron Unlocks More Gas Discoveries in WA’s Carnarvon Basin
Chevron Australia has unlocked more gas discoveries in the Carnarvon Basin, off Western Australia, bringing its total discovery haul to 19 just in the area alone.
In a statement on Friday, Chevron said it encountered about 60 metres and about 45.5 metres of net gas pay from its Pinhoe-1 and Arnhem-1 wells, respectively.
The discoveries bring positive news that its Gorgon and Wheatstone gas-export projects could be bigger than what earlier resource figures indicated. However, the new discoveries may be more expensive to develop since they are far away located from the coast.
Pinhoe-1 is located in deep water 200 kilometers offshore from Exmouth on the Western Australia coast. Arnhem-1, meantime, is 290 meters away from Exmouth.
"These discoveries in the Exmouth area are significant as they are located farther out from other discoveries in the greater Gorgon and Wheatstone development in the Carnarvon basin and indicates development potential in the broader region," Melody Meyer, president of Chevron's Asia Pacific Exploration and Production business, said.
Chevron owns and operates half of the permits holding the discoveries, with rest owned up by Royal Dutch Shell.
In November, Chevron reported its third-quarter earnings fell 33 per cent, due to maintenance, legal issues and storms. Revenue likewise declined 9.9 per cent.
This week, the oil giant said it will purchase a 50 per cent hold in two natural gas fields in western Canada, as well as half of the infrastructure project needed to export that fuel to buyers in Asia.